Monday May 29, 2023
Senior police meeting provides springboard for inter-regional dialogue on combating drug trafficking
ABU DHABI, United Arab Emirates – INTERPOL’s Asian Regional Conference has ended with senior law enforcement officials supporting increased cross sector cooperation to combat a range of crimes including drug trafficking, cybercrime and terrorism.
Among the recommendations was greater engagement with the information and communications technology sector to better detect and disrupt human trafficking facilitated online, as well as enhanced use of INTERPOL’s tools and services.
Delegates also recognized the need for engagement with civil society organizations to support the recovery and re-integration of trafficking victims.
Measures to better address current and emerging forms of terrorism across the region and beyond, supported by the participants, include:
-Enhancing intelligence sharing on subjects and modi operandi linked to chemical, biological, radiological and nuclear incidents and improvised explosive devices;
-Increasing systematic inclusion of biometrics linked to terrorist profiles in INTERPOL databases and alerts;
-Facilitating intelligence-led screening operations targeting suspected terrorists, their affiliates, cross-regional movements, financial and other support mechanisms.
With cyberattacks easily replicated in other countries or regions, increasing use of INTERPOL’s tools and capabilities to prevent, detect, investigate and disrupt cybercrime was also a key recommendation.
Stronger global coalition
The Asian Regional Conference also began the review of INTERPOL’s Global Policing Goals, which were launched in 2018 to address a range of issues related to crime and security.
More than 150 law enforcement officials from 42 countries across Asia, the South Pacific and the Middle East took part in the three-day (7-9 February) meeting.
INTERPOL’s 2022 Global Crime Trend report highlighted drug trafficking among the region’s top threats. On Wednesday, New Zealand authorities reported one of the country’s largest ever seizures after intercepting 3.2 tonnes of cocaine afloat in the ocean.
“Our member countries are reporting record seizures and increased violence by organized crime groups, which at the same time are infiltrating the legitimate economy with the billions they are making in illicit profits,” said INTERPOL Secretary General Jürgen Stock.
“With each region facing its own drug-related challenges, INTERPOL is the ideal platform to coordinate a global dialogue for a multi-layered and comprehensive law enforcement response to include linked crimes such as money laundering and corruption,” concluded Secretary General Stock.
The INTERPOL Americas Regional Conference, to be held in Chile in March, will provide an opportunity for member countries to outline the challenges they face, and contribute to developing a stronger global coalition against drug trafficking.
Senior police meeting provides springboard for inter-regional dialogue on combating drug trafficking
ABU DHABI, United Arab Emirates – INTERPOL’s Asian Regional Conference has ended with senior law enforcement officials supporting increased cross sector cooperation to combat a range of crimes including drug trafficking, cybercrime and terrorism.
Among the recommendations was greater engagement with the information and communications technology sector to better detect and disrupt human trafficking facilitated online, as well as enhanced use of INTERPOL’s tools and services.
Delegates also recognized the need for engagement with civil society organizations to support the recovery and re-integration of trafficking victims.
Measures to better address current and emerging forms of terrorism across the region and beyond, supported by the participants, include:
-Enhancing intelligence sharing on subjects and modi operandi linked to chemical, biological, radiological and nuclear incidents and improvised explosive devices;
-Increasing systematic inclusion of biometrics linked to terrorist profiles in INTERPOL databases and alerts;
-Facilitating intelligence-led screening operations targeting suspected terrorists, their affiliates, cross-regional movements, financial and other support mechanisms.
With cyberattacks easily replicated in other countries or regions, increasing use of INTERPOL’s tools and capabilities to prevent, detect, investigate and disrupt cybercrime was also a key recommendation.
Stronger global coalition
The Asian Regional Conference also began the review of INTERPOL’s Global Policing Goals, which were launched in 2018 to address a range of issues related to crime and security.
More than 150 law enforcement officials from 42 countries across Asia, the South Pacific and the Middle East took part in the three-day (7-9 February) meeting.
INTERPOL’s 2022 Global Crime Trend report highlighted drug trafficking among the region’s top threats. On Wednesday, New Zealand authorities reported one of the country’s largest ever seizures after intercepting 3.2 tonnes of cocaine afloat in the ocean.
“Our member countries are reporting record seizures and increased violence by organized crime groups, which at the same time are infiltrating the legitimate economy with the billions they are making in illicit profits,” said INTERPOL Secretary General Jürgen Stock.
“With each region facing its own drug-related challenges, INTERPOL is the ideal platform to coordinate a global dialogue for a multi-layered and comprehensive law enforcement response to include linked crimes such as money laundering and corruption,” concluded Secretary General Stock.
The INTERPOL Americas Regional Conference, to be held in Chile in March, will provide an opportunity for member countries to outline the challenges they face, and contribute to developing a stronger global coalition against drug trafficking.
Deal aims to further develop existing collaboration between the United Arab Emirates and the Arab Republic of Egypt
CAIRO: The Executive Office of Anti-Money Laundering and Counter Terrorism Financing (EO AML/CTF) concluded meetings with the Egyptian Money Laundering and Terrorist Financing Combating Unit (EMLCU) with the signing of a Memorandum of Understanding (MoU) to strengthen cooperation in combating money laundering and terrorist financing.
The MoU aims to further develop existing collaboration between the United Arab Emirates and the Arab Republic of Egypt, particularly in the improvement of risk understanding and the exchange of knowledge, expertise, and best practices in the field of AML/CFT, with a view to strengthen the response of both countries to shared threats and risks.
Hamid AlZaabi, Director General of the EO AML/CTF, said that the MoU builds upon longstanding coordination between the UAE and Egypt in this field. He explained, “The signing of the MoU is yet another step in a long series of bilateral meetings and achievements that have undoubtedly strengthened national and regional efforts to counter illicit financial flows. I would like to thank our Egyptian partners for hosting a productive meeting and for sharing a valuable update on tactics, typologies, and the latest developments. The signing of the MoU formalizes the exchange of knowledge, experience, and expertise in the areas of combating money laundering, the financing of terrorism, and financing the proliferation of weapons of mass destruction. By strengthening our cooperation in the fight against financial crime, we protect our national economies and international financial systems.”
Judge Ahmed Khalil, Chairman of the EMLCU, said that the signing of the MoU is a natural progression in cooperation between Egypt and the UAE. “We have cooperated closely for the past five decades, a milestone that we celebrated last October on the occasion of the 50th anniversary of the establishment of Egypt-UAE relations. Ultimately, the bilateral partnership between our countries is based on the pursuit of shared interests.”
He also pointed out that the signing of the MoU reinforces effective cooperation between the EO AML/CTF and EMLCU. He said, “The MoU will also play a role in encouraging the sharing of experiences through bilateral meetings and the exchange of best practices, including the establishment and amendment of laws, supervisory instructions, guidance, mechanisms, and procedures to enhance the effectiveness of both parties in relation to combating money laundering and related predicate offenses, terrorism financing, and proliferation financing.”
For his part, Judge Hatem Aly, Regional Representative of the United Nations Office on Drugs and Crime (UNODC) in the Gulf Cooperation Council region, said that the UNODC welcomes the fruitful partnership that has expanded in recent years with the EO AML/CTF. It has developed national efforts to investigate and detect illegal financial transfers and combat money laundering and terrorist financing on the national, regional, and international levels.
In this regard, he said, “Through this framework of partnership and cooperation, and in order to ensure close cooperation with similar units at the regional and international levels, the President and members of the UNODC for the GCC support the efforts of the EO AML/CTF to communicate with concerned authorities in the region to exchange experiences and knowledge in the field.”
He continued: “The visit of the Head of the Executive Office and a high-ranking delegation from the UAE comes at the invitation of the Chairman of the Board of Trustees of the Egyptian Anti-Money Laundering and Terrorist Financing Unit. The signing of the MoU between the EO AML/CTF and EMLCU to deepen cooperation, including with the UNODC, further serves to combat organized crime regionally and internationally in line with UN standards.”
As per the provisions of the MoU, a committee consisting of representatives from both parties has been formed to coordinate the implementation of the MoU. The MoU seeks to raise awareness and improve domestic and regional understanding of AML/CFT through the convening of training courses, workshops, seminars, and conferences.
The MoU will also allow the EMLCU to leverage the EO AML/CTF’s partnership with the UNODC in the GCC region by providing access to information sharing programs and other inter-agency initiatives.
Egmont Group - NEWS AND EVENTS
The 2023 annual Egmont Group (EG) Working and Regional Group Meeting occurred from January 30 to February 3, 2023, in Dakar, Senegal. Ms. Xolisile Khanyile, EG Chair and Head of FIU South Africa, hosted the meeting.
This year’s event included 287 delegates representing Egmont members and 12 observers and international partners who gathered through 15 different meetings to enhance EG member capabilities, improve information sharing among them, and work toward accomplishing our development mission, cooperation, and sharing of expertise.
The Information Exchange Working Group (IEWG) updated and discussed various ongoing projects, including Detecting Trade-Based Money Laundering and Abuse of Corporate Structures, Phase II of the FIUs Capabilities and Involvement in the Fight Against the Financing of Extreme Right-Wing Terrorism, FIUs’ Role in the Fight Against the Abuse of Non-Profit Organizations for TF Activity, and Abuse of Virtual Assets for Terrorist Financing Purposes. The group also discussed and approved the report produced within the Use of Open-Source Intelligence in FIU Operational and Strategic Analysis project. The report is now pending the final decision of the Heads of the Egmont Group FIUs.
The Membership Support and Compliance Working Group (MSCWG) considered the applications of four new candidate FIUs, approved its Business Plan 2023-2024 and worked on reviewing the EG Support and Compliance Process.
The Policy and Procedures Working Group (PPWG) discussed further actions based on the recommendations to address impediments regarding information exchange. One of these recommendations leads to a new project which develops a template MoU for multilateral information exchange between FIUs. Furthermore, PPWG had a closer look at the different FIU funding models used worldwide to highlight models of best practice and possible self-funding options and to identify benefits and challenges.
The Technical Assistance and Training Working Group (TATWG) met to identify and discuss the development and delivery plans for 2023-2024, including illegal mining, fighting proceeds of corruption, VASPs risk assessment and AML supervision, open-source intelligence for financial analysis and investigation, impediments to bilateral and multilateral information exchange of FIUs, the Best Egmont Case Award Workshop, a global workshop on autonomy and operational independence of FIUs, a joint EG WCO financial intelligence training compendium, and a joint online course with UN University’s Fighting Against Modern Slavery and Human Trafficking Initiative (FAST). With candidate FIUs, Observers/International Organizations’ participation and engagement, the TATWG took the opportunity to explore opportunities to increase EG members’ and candidate FIUs’ effectiveness and enhance their skills, knowledge, and expertise through broad-based training and initiatives.
Five of the EG’s eight Regional Groups met, including East and Southern Africa, Eurasia, Europe I, Middle East and Northern Africa, and West and Central Africa. Some topics were the 29th Egmont Group Plenary Thematic Discussion which will form the next EG Plenary’s central theme, the 2023 Egmont Biennial Census, which helps the organization better understand its members’ strengths and needs and provide better member support so that FIUs can effectively exchange high quality, comprehensive, and timely information. They also discussed the EG Chair’s 2023-2024 priorities and how each region can support their implementation.
The Egmont Centre of FIU Excellence and Leadership (ECOFEL) delivered a workshop, in close coordination with FinCEN, FIU-Luxembourg, FIU-Isle of Man and Europol, on Ransomware. During this workshop, ECOFEL increased participants’ understanding of ransomware attacks, indicators, challenges, and what FIUs can do to contribute to the fight against ransomware.
The Egmont Committee approved a 2023-2027 EG Communications Strategy that will guide the organization’s communications activities and practices as it strives to achieve the goals outlined by the 2023-2027 EG Strategic Plan’s four Thematic Areas of Action.
Throughout the week, the organization also finalized several selection procedures for additional EG leadership roles, including:
-Carine Charlette-Katinic, Director of the FIU of Mauritius, was selected as IEWG Vice-Chair.
-Andre Banyai, Head of the Analytical Unit with the Hungarian FIU, was selected as IEWG Vice-Chair.
-Philip Hunkin, Head of FIU Isle of Man, was selected as the TATWG Vice-Chair.
On behalf of all EG members, the EG congratulates the FIU of Senegal for successfully hosting the 2023 EG Working Group and Regional Group Meeting in Dakar! The EG acknowledges the hard work and time it takes to plan an event of this kind, and it’s a clear testament to Senegal’s commitment to the global fight against money laundering and the financing of terrorism. The EG extends its sincere gratitude to Ramatoulaye Gadio Agne, Senegal’s Head of the National Financial Intelligence Processing Unit (CENTIF), and her excellent team.
https://egmontgroup.org/news/communique-2023-egmont-group-working-and-regional-group-meeting/
Swiss journalists could in future receive leaked bank data without fear of criminal prosecution if a parliamentary motion is incorporated in banking secrecy legislation.
On Thursday the government supported a proposal from the House of Representatives that the media would be exempt from prosecution if their reporting is deemed in ‘good faith’.
Swiss media have been banned from accepting leaked bank data since the banking secrecy act was tightened up in 2015.
The law change has been condemned by Reporters Without Borders and the United Nations for infringing on the freedom of the press in Switzerland.
Last year, a Swiss newspaper turned down the offer of leaked ‘Suisse Secrets’ data, which suggested banking links to criminals External link and corrupt foreign officials. The newspaper feared criminal prosecution if it followed the example of foreign media which accepted the information.
In addition to criticism from international NGOs, left-leaning Swiss parliamentarians also voiced their concern that press freedom is violated by the law.
A House of Representatives commission responded by issuing a motion to “ensure freedom of the press in financial matters”, which was passed by a narrow majority.
The government broadly welcomed the proposal in a written response on Thursday. But the Senate still has to debate and vote on the issue before any changes can be made to the current law.
The Austrian Ministry of Finance invited several experts on the human trafficking and money laundering issue. They discussed possible solutions to these problems and the ministry's help in it.
Together with the "Finance Against Slavery and Trafficking" (FAST) initiative from the UN University and the Money Laundering Reporting Office (A-FIU) of the Federal Criminal Police Office, the Ministry of Finance invited to a roundtable on combating human trafficking on Tuesday.
The focus was on the contribution that the Austrian financial sector can make to this. The roundtable aimed to further improve the detection and reporting of suspicious activities by financial actors and thus strengthen the fight against human trafficking.
In addition to numerous representatives of the financial sector, experts from the responsible authorities and other public institutions also took part. International participants also contributed to the discussions with their expertise. “Human trafficking is a terrible crime that causes much human suffering. It is also a predicate offense for money laundering and therefore the support of the financial sector is essential to track down the illicit funds generated by human trafficking. I am therefore pleased that the exchange between private and public actors was intensified today with the support of the FAST initiative and that further solutions could be developed in this way," says Finance Minister Magnus Brunner.
“Human trafficking and modern slavery generate over €150 billion a year in illicit assets. With the help of the financial sector, we can track them down, confiscate them and return them to the survivors of these crimes," adds Daniel Thelesklaf, head of the FAST initiative.
Human trafficking happens globally and also affects Austria. Human trafficking is also linked to the displacement and concealment of illegal proceeds. Here comes because of this, the international FAST initiative aims to mobilize the financial sector against human trafficking.
In general, Austria also supports the ongoing development of effective anti-money laundering measures at international and European levels. Negotiations are currently underway on a new EU regime to prevent money laundering even more effectively in the future.
Among other things, a European supervisory authority to combat money laundering and terrorist financing (AMLA) is to be created. Austria is also applying to be the host country for the seat of the AMLA.
The delegation was welcomed by HE Siniša Mali, Deputy Prime Minister of Serbia, Minister of Finance, and Chairman of the National AML/CTF Coordination Body
Abu Dhabi, United Arab Emirates: - The Executive Office of Anti-Money Laundering and Counter Terrorism Financing (EO AML/CTF) led a delegation to Belgrade to meet with Serbian partners and discuss the strengthening of bilateral relations in the field of AML/CTF.
HE Hamid Al Zaabi, Director General of the EO AML/CTF, headed the delegation, which included senior officials from government agencies, including the UAE’s Financial Intelligence Unit (FIU) and Executive Office for Control and Non Proliferation. The delegation was welcomed by HE Siniša Mali, Deputy Prime Minister of Serbia, Minister of Finance, and Chairman of the National AML/CTF Coordination Body.
Ali Faisal Ba’Alawi, Head of the UAE FIU, and counterpart Željko Radovanović, Director, Administration for the Prevention of Money Laundering (Serbian FIU), signed a memorandum of understanding (MoU) on enhanced bilateral cooperation, including the facilitation of information exchange and joint activities. The MoU is the 62nd signed between the UAE FIU and an international FIU.
The meeting covered various topics, including compliance with AML/CTF standards, national risk assessments, the fight against organized crime, ML investigations and prosecutions, and AML/CTF supervision and targeted financial sanctions.
The UAE delegation presented an overview of the UAE’s approach to fighting financial crime and the National AML/CTF Strategy and Action Plan. Briefings were delivered on key UAE initiatives, an update on progress in implementing Financial Action Task Force (FATF) Recommendations, and the UAE’s approach to targeted financial sanctions.
Commenting on the visit, HE Hamid Al Zaabi, Director General of the EO AML/CTF, said, "Effective international cooperation is essential in the fight against financial crime, and we appreciate our Serbian partners hosting such productive meetings. High-quality and timely information is crucial for the effectiveness of regional and global AML/CTF efforts, and the signing of this MoU between our FIUs sends a strong message to financial criminals.”
Serbian authorities presented on their National Plan, approach to the fight against financial crime, and National Risk Assessment (NRA).
On the occasion of signing the MoU, Director of the Administration for the Prevention of Money Laundering Mr. Željko Radovanović said that the MoU should be viewed in a broader context, as a possibility and an encouragement to explore other areas of cooperation, including experience and knowledge sharing. Along these lines Mr. Radovanović added that Serbia has got precious experience to share in respect of risk assessment of virtual asset service providers; of companies by type and financing of proliferation. Moreover, Serbia is among the first countries in the region that conducted these assessments.
Minister Siniša Mali emphasised the following: “The United Arab Emirates is an exceptionally important partner of the Republic of Serbia and a friendly country and therefore further strengthening of strategic relations and firm partnership of the two countries is crucial for Serbia. The implementation of major projects, such as Belgrade Waterfront and investments into our national air carrier, Air Serbia, are only some of the examples of our successful cooperation. For this reason I am very pleased that we are taking now a step further enhancing cooperation in the area of AML/CFT. Money laundering has a number of negative effects on a state and society, as unregulated financial flows affect any financial system and economy. Serbia is open for cooperation and knowledge and information sharing in this field, which is extremely sensitive and dynamic, especially in the context of increased use of new technologies.”
Both parties committed to further strengthening collaboration between the two countries to combat financial crime and ensure a safe and secure global financial system.
Nigeria - The federal government received £401,816,371 billion from international assets recovered from 2021 till date across different jurisdictions, Abubakar Malami, Attorney General of Nigeria has said.
Malami revealed this during his presentation at the 18th edition of the current administration’s scorecard from 2015 till date in Abuja on Thursday.
Giving a breakdown of the recoveries, he said the sum of £6,324,627.66, €5,494,743.71 and $390,000,000 were recovered from various jurisdictions.
“For local asset recovery and management in line with the cardinal principle of the present Administration in the fight against corruption, a total sum of N1,823,788,146.86 has been generated so far from forfeited properties,” he said.
Malami revealed that some of the recovered funds were used to fund the social investment program and were also used to finance critical infrastructures including the Abuja – Kano Expressway, Second Niger Bridge, and Lagos – Ibadan Expressway.
He said in collaboration with relevant security and Law Enforcement Agency (LEA) the Ministry developed a framework geared towards engagement of prosecution-guided investigation in terrorism cases, to enhance the challenges of successful prosecution in court.
Filing an update on the P&ID case, Malami said the main hearing will be held on January 16, noting that so far some form of progress has been recorded.
He said that substantive application to finally set aside the award will be heard, adding that those involved locally will be persecuted.
Speaking on the activities and successes of the ministry, he said that a total of 3,000 Terrorism cases have been profiled so far out of which over 1500 cases were prosecuted and 397 convictions realized.
“A total of 7000 cases involving various offences including Maritime, Armed Robbery, Vandalization of Electrical Equipment and Pipelines, Financial matters, Cyber Crime, Kidnapping and Anti-corruption were prosecuted,” he said.
He also revealed that in the fight against corruption, some other anti-corruption legislations were put in place such as the money laundering prevention and prohibition Act, 2017; company and allied matters Act incorporating beneficial ownership,2020; terrorism prevention and prohibition Act,2022; Nigeria Financial Intelligence Unit Act, 2018, etc.
He also said that the National Anti-Corruption Strategy (NACS) which was first adopted by the Federal Executive Council in July 2017 to run from 2017 to 2021 has now been extended from 2022 to 2026.
Malami the responsibility of handling negotiations and providing legal advice on all Federal Government Contract falls squarely on the Ministry. said during the review period, 648 cases were instituted against the president federal government and its agencies before states federal and ECOWAS courts were served on the ministry but the ministry saved the government from huge judgments debt liabilities of over 142bn naira and over $507 million.
“My Office has successfully executed over 350 Mutual Legal Assistance (MLA) requests and over 50 extradition requests, among these, are MLA requests from the United Kingdom on trafficking in person, which led to the first conviction of the offender under the UK Modern Slavery Act on April 13, 2022. Other MLA requests from Turkey, USA on drug trafficking and other crimes have been successfully treated,” he said.
Highlighting the successes of agencies under the ministry, he said between 2019 and 2021 the Nigerian Copyright Commission which is tasked with the administration, enforcement, promotion and regulation of copyright in Nigeria seized about 95,068 pirated works with a monetary value of N84.72 million.
Similarly, the Legal Aid Council mandated to provide free legal assistance and representation in all criminal matters provided services to about 57,134 citizens and recovered the sum of N57,39 million as claims/compensation for victims of motor accident.
The two sides discussed a range of topics of mutual interest pertaining to AML/CFT in which both governments have witnessed significant advances.
ABU DHABI - The U.S. Department of the Treasury’s Under Secretary for Terrorism and Financial Intelligence Brian Nelson led a two-day treasury delegation visit to the UAE to meet with UAE authorities on AML/CFT matters and bilateral areas of joint cooperation.
The two sides discussed a range of topics of mutual interest pertaining to AML/CFT in which both governments have witnessed significant advances.
Officials from the UAE and U.S. reiterated their commitment to the continued dialogue between the two sides under the umbrella of the UAE-U.S. Working Group on AML/CFT and exchanged respective experiences on efforts pertaining to Virtual Assets and Virtual Asset Providers (VASPs), supervisory efforts, gold smuggling, and measures undertaken by Law Enforcement Agencies (LEAs) and the Financial Intelligence Unit (FIU) in targeting illicit finance risks.
U.S. officials recognised the UAE’s efforts to strengthen its policies and enforcement mechanisms in the fight against financial crime and illicit money flows.
UAE and U.S. officials also discussed enhancing cooperation in the field of combating money laundering and terrorist financing at the local and international levels and discussed ongoing sanctions programmes and associated designations of key networks around the world. The two sides underscored their commitment to continuing to work closely in this regard.
Bilateral efforts pertaining to food security assistance, global inflation, and climate-related initiatives were also discussed.
GOV.UK Published / 1 February 2023
Overseas organisations owning UK land must have publicly declared their true owners, under world leading UK laws to crack down on dirty money.
-Oligarchs and non-compliant organisations face severe restrictions on their ability to buy and sell property and could risk future additional penalties
-further investigatory powers and investment of up to £20 million of allocated spending on economic crime being deployed to tackle money laundering through companies
Overseas companies owning UK land who have not registered their beneficial owners with Companies House could now face penalties such as sale restrictions and tough fines, the government has announced.
Foreign companies were required to declare their beneficial owners on the Register of Overseas Entities by Tuesday 31 January, under world leading new anti-money laundering measures introduced by the government to flush out corrupt elites.
Now that the deadline has passed, foreign companies that have not submitted information to Companies House could face severe sanctions, including financial penalties or prosecution.
The register was introduced as part of a package of tough economic measures announced in response to Russia’s invasion of Ukraine, targeting the illicit wealth of supporters of the Putin regime. The register also exposes criminals using overseas companies to launder money. Recently scammer Dr Ruja Ignatova, the “Cryptoqueen” on the FBI’s most wanted list, was publicly declared the beneficial owner of two intermediaries in Guernsey due to the new requirements.
Business Minister Lord Callanan said:
There is nowhere for the criminals and corrupt elites to hide. We will be using all the tools at our disposal, including fines and restrictions, to crack down on foreign companies who have not complied.
Unregistered companies are already automatically rejected from registering ownership of any new land by HM Land Registry. Any UK buyers will be unable to transfer their title to the deed of any property purchased from non-compliant organisations, frustrating attempts to sell. Criminals purchase a safe investment like land and property through opaque corporate structures to clean their dirty money. The Register brings transparency to these overseas based structures, and the restrictions halt the flow of money for those who do not comply.
Companies House is now assessing and preparing cases for enforcement action. Further regulations will also empower Companies House to impose financial penalties on land owned by non-compliant organisations, as well as pursue other legal avenues.
It is estimated that 19510 out of a total of 32440 registered overseas organisations have declared their beneficial owners. The information gained has also been invaluable for tax and revenue services, bringing transparency to opaque offshore trusts often used to obscure assets for tax purposes.
Companies House and the Insolvency Service will also gain enhanced powers from the Economic Crime and Corporate Transparency Bill, which has just completed scrutiny in the House of Commons. Through the investment of up to £20 million of allocated spending, both organisations will recruit new teams of intelligence and analytical experts to further boost their capability to tackle money laundering and aid law enforcement.
Louise Smyth, Chief Executive Officer of Companies House said:
The implementation of the Register of Overseas Entities has been another huge step forward in the transformation of Companies House and our role in helping combat economic crime.
We cannot be clearer in our message to these entities; if you ignored warnings and fail to register before the deadline, you will face consequences. This includes not only the prospect of restrictions on your land or property but also a possible fine, prison sentence, or both.”
Notes to editors
The Register of Overseas Entities came into force on 1 August 2022.
The requirement to register was retrospective; overseas entities who purchased property/land in or after a certain date fell under the scope of this requirement.
Guidelines for registration, and an outline of entities who fall under the scope of these requirements, can be found on GOV.UK at: www.gov.uk/guidance/register-an-overseas-entity.
Companies House and the Insolvency Service will gain enhanced powers from the Economic Crime and Corporate Transparency Bill. The Bill has completed its Commons stages and entered the Lords.
The £20 million of new anti-money laundering capabilities comes on top of £63 million investment over the Spending Review period to transform Companies House.
The authorities in Kazakhstan will create a list of people who will be obliged to reveal the origin of their assets, according to Prime Minister Alikhan Smailov.
«We are planning to create a limited list of individuals who have to file an income declaration. If an owner of certain assets can’t explain how he obtained them, the government will consider these assets illegally obtained and recover them», he stated.
All such recovered assets are expected to be allocated for public projects in Kazakhstan.
Last year, President Kassym-Jomart Tokayev ordered the cabinet to bring all illegally obtained assets back to the country.
During his inauguration in November 2022, he said that the cabinet was going to issue new rules for recovering illegally obtained capital. The new legislation should also reduce loopholes that allow perpetrators to illegally withdraw money from the country.
In June 2022, the president gave the green light to a new state commission on illegally obtained asset recovery headed by the General Prosecutor. At the time, Tokayev stressed that he was going to keep an eye on the commission’s operation.
The initiative followed public protests in January that caused significant political changes in the country. According to the president, some people illegally withdrew huge amounts of money from Kazakhstan during the unrest.
Prosecutors working on organized crime and asset recovery cases in Serbia and a judge from the Belgrade High Court visited the German Federal Criminal Police Office in Wiesbaden for a study visit on 24 and 25 January.
The visit contributed to strengthening cross-border co-operation in the fight against transnational organized crime and corruption between the interested parties by exchange of experience and operational information on asset recovery cases, especially those of transnational nature that involve tracing, seizure and confiscation of criminal assets located in foreign jurisdictions. Participants also discussed their practices on cross-border tracing of illicit financial flows and seizure of cryptocurrencies.
Familiarity with the main legal aspects of the country where criminal assets are located can facilitate the proper submission of requests for international assistance, through both formal and informal channels, and lead to swift feedback.
This activity was facilitated by the OSCE’s Transnational Threats Department and the Office of the Co-ordinator of OSCE Economic and Environmental Activities (OCEEA) as part of the Strengthening the fight against transnational organized crime in South-Eastern Europe through improved regional co-operation in asset seizure, confiscation, management and re-use project.
Germany, Italy, the United Kingdom and the United States financially support this regional initiative.
Baghdad (IraqiNews.com) – The Central Bank of Iraq (CBI) announced on Tuesday the acceptance of Iraq’s nomination to the Egmont Group of Financial Intelligence Units, the Iraqi News Agency (INA) reported.
The CBI mentioned in a statement that the efforts of the Anti-Money Laundering and Countering Financing of Terrorism Office (AML/CFT) resulted in approving the nomination of the office to join the Egmont Group of Financial Investigation Units, according to INA.
Iraq’s field visit carried out by representatives of the sponsoring countries was discussed during the meeting of the Membership, Support, and Compliance Working Group (MSCWG) held in Senegal on Tuesday, the statement explained.
After reviewing the results of the field visit in Iraq during the meeting, the representatives of the sponsoring countries agreed to nominate Iraq’s AML/CFT Office to the membership of the Egmont Group, the statement elaborated.
The Iraqi AML/CFT Office will have full membership during the meetings that will be held in July 2023.
The Egmont Group of Financial Intelligence Units is an international organization that facilitates cooperation and intelligence sharing between national financial intelligence units to investigate and prevent money laundering and terrorist financing.
The Egmont Group has 167 financial intelligence units, and is aware of 47 additional jurisdictions that are part of the AML/CFT offices global network, and whose financial intelligence units could join if they meet the Egmont Group’s membership criteria.
The Dutch central bank DNB fined cryptocurrency service provider Coinbase 3.3 million euros. According to the Dutch regulator, Coinbase violated the Netherlands' anti-money laundering and terrorism funding act by providing crypto-services in the country in the past without registering with the DNB.
Coinbase has since applied for and gotten the required registration.
When determining the amount of the fine, DNB took into account the fact that Coinbase is one of the largest crypto services providers, that it has a significant number of customers in the Netherlands, and that it “has enjoyed a competitive advantage in that it has not paid any supervisory fees to the DNB.”
The fine is also higher than the base amount of 2 million euros because the period of non-compliance lasted a long time, from November 2020 to August 2022. “This is why the DNB considers the non-compliance to be very severe.”
Cryptocurrency service providers are required to register with the DNB because of the high risk of money laundering and terrorist financing associated with the anonymity of cryptocurrency transactions. The registration requirement enables the DNB to monitor the risk of illicit money flows more effectively.
By offering services in the Netherlands without registration, Coinbase could not report unusual transactions to the Dutch authorities during the period of non-compliance, the DNB said. “As a result, a large number of unusual transactions may have gone unnoticed by the investigative authorities during this period.”
Coinbase has until March 2 to object to the fine.
Rabat - Saudi Arabia and Morocco renewed on Tuesday their determination to boost cooperation against shared security threats, including terrorism.
Abdellatif Hammouchi, the head of Morocco’s General Directorates of National Security and Territorial Surveillance (DGSN-DGST), hosted in Rabat today Abdullah Fahad Salih Al-Owais, Vice President of Saudi State Security, who is leading a security delegation to Morocco as part of a working visit.
During the meeting, Hammouchi and Salih Al-Owais signed an agreement to bolster Moroccan-Saudi cooperation in the fight against terrorism and terrorist funding.
The agreement covers the development of cooperation and security coordination in different areas related to the fight against terrorism and terrorist financing operations.
Several reports have in recent years emphasized the importance of Morocco as a regional leader in counterterrorism. The North African country has thwarted over 500 terrorist plots since 2002.
By 2021, Morocco had notably dismantled 214 terrorist cells and brought 4,304 suspects to court. Around 88% of the dismantled cells were affiliated with ISIS.
A statement from DGST said that the Saudi delegation’s visit reflects the strong cooperation and brotherly relationship between the two countries at different levels, including in security and intelligence.
The visit also “illustrates the common will of the two parties to consolidate this bilateral cooperation serving the safety and security of their citizens,” added the statement.
Morocco has been intensifying cooperation with international partners at the level of security to tackle threats affecting the MENA region, particularly terrorism and other organized crimes.
(Seychelles News Agency) - A national risk assessment that started last year to identify nonprofit organisations (NPOs) at risk of financing terrorism is moving to the second phase to be done through a survey.
The chief executive of the Financial Intelligence Unit (FIU), Richard Rampal, told reporters on Tuesday that the exercise is not only to determine if the sector, in general, faces the risk of financing terrorism but to look at mitigating measures in line with international recommendations.
“For the NPOs identified to be at risk, FIU is the entity that will supervise them. The intention is to assist the NPOs that are at risk and work closely with them so that they are not used as an avenue for terrorists to route their funds through. We will supervise, ask for reports and do inspections at the associations for us to be better able to support them,” he explained.
Rampal said that FIU “does not have any statistics at the moment that shows that our NPOS are being used for financing terrorism. This exercise will help us collect information so that we can make policy decisions that will mitigate the risks.”
The Secretary of State in the finance ministry, Patrick Payet, said that the first phase done last year was to identify all entities that fall under the NPO sector and the second phase will be more in depth.
“In our review of the first phase we have seen that we need more engagement from the NPOs and we also need more information. This time we are also including a better representation of different groups of NPOs and adding questions that will help identify if NPOs understand the risk they can have for financing terrorism,” said Payet.
The chief executive of the Citizens Engagement Platform of Seychelles (CEPS), Alvin Laurence, said the exercise will be done through a survey.
“The different associations will be contacted by telephone to ensure a high level of confidentiality and transparency. The questions that will be asked will include where they get their funding and who verifies upon receipt and how the funds are used. All the answers will be recorded and a national analysis will be done to show if that sector in Seychelles is at risk for financing terrorism,” said Laurence.
He explained that a nonprofit organisation is a group set up for a particular purpose and the funds they get should not go into the pocket of an individual but are used for the benefit of society.
The NPOs under the CEPS umbrella include associations, federations and foundations.
“It also includes faith-based organisations which are those not registered as a religion but have their own practices and this is one of the sectors that is looked at closely because there is collection and utilisation of funds,” he added.
Laurence highlighted the importance of the NPOs and said that to continue with the good work and in the development of the country, it is important that these organisations continue to get financial support.
“This is not automatic, however, there are criteria and regulations to follow and this has to be done through good governance. This is why organisations affiliated with CEPS and the NPOS that we worked with have to do the exercise to show that the way we operate, the way we receive funds and how we use them do not put civil society at risk and also the country at risk,” added Laurence.
Payet said the exercise is important for Seychelles as it is one of the recommendations made by the Financial Action Task Force. One of its 40 recommendations requires that countries take a risk-based approach to the supervision of the NPO sector. Seychelles he said is currently non-compliant with this recommendation.
“If Seychelles remains non-compliant with the recommendation made by the FATF, we can be placed on the EU’s blacklist and this will affect the integrity of our financial sector. The last time we were blacklisted it directly impacted our financial sector,” he said.
Seychelles, an archipelago in the western Indian Ocean, was blacklisted because the European Union was concerned with the territorial tax system adopted in December 2018. Seychelles was removed from the tax haven blacklist in 2021 after the island nation amended its legislation to bring it in line with international standards.
FRANKFURT – The digital version of the euro currency will be free to use and available to all but the European Central Bank does not want to keep any personal data on its users, ECB board member Fabio Panetta said on Monday.
The ECB is working on a digital version of its currency and is in the process of outlining the broader design, also hoping to alleviate concerns that the digital currency could disrupt the financial system and give the central bank too much data on citizens.
A digital currency is a direct claim on the central bank’s balance sheet, much like cash, so it is deemed safer than a deposit kept at a commercial bank.
“The digital euro would be a public good,” Panetta told the European Parliament’s Committee on Economic and Monetary Affairs.
“It would therefore make sense for its basic services to be free of charge – for example when using the digital euro to pay another person, as is the case for cash.”
Banks have been concerned that a digital currency would make their own services redundant, so customers would abandon them and move their cash to central bank money given the added safety.
However, Panetta said the ECB would offer no accounts to citizens and would not let people make programmed, regular payments to cover transactions like bills or rent, as it is not in the business of creating competition for commercial banks.
“We believe supervised intermediaries, who are in direct contact with users, are best placed to identify use cases for conditional payments and any other advanced payment services,” Panetta said.
If issued, the ECB could develop its own standalone app for payments or may allow commercial banks to integrate the digital euro into their own platforms.
Its own app would, however, include only basic payment functionalities and ensure that it could be used anywhere in the euro area, a 20-nation currency bloc with around 350 million people.
“The ECB would not set any limitations on where, when or to whom people can pay with a digital euro,” Panetta said.
Hoping to address a key concern about privacy and confidentiality, Panetta said the ECB aims to have no access to personal data.
This may be problematic, however, given concerns about money laundering, terrorism financing, and tax evasion, so legislators are looking at options to keep tabs on usage.
The ECB is still only investigating the creation of a digital euro and actual issuance is still years away.
STRASBOURG
On 7-9 December 2022 MONEYVAL held its 64th Plenary meeting. It was opened by the Deputy Secretary General of the Council of Europe Mr Bjørn Berge. In his speech Mr Berge underlined the expanding role of MONEYVAL as a part of the Council of Europe and congratulated Committee on its 25 year anniversary.
The Executive secretary of the FATF Ms Violaine Clerc addressed the Plenary highlighting the high-level of cooperation between FATF and MONEYVAL and commending MONEYVAL for the quality of its mutual evaluations.
The Plenary meeting discussed and adopted the mutual evaluation reports of Estonia and Monaco and the follow-up report of Lithuania. It held a thematic session on the links between money laundering and human trafficking with an exchange of views involving Ms Helga Gayer, President of the Council of Europe Group of Experts on Action against Trafficking in Human Beings (GRETA), Ms Petya Nestorova Executive Secretary of GRETA, and Daniel Thelesklaf, leader of the FAST Project of the UN University.
MONEYVAL held a discussion on its strategic priorities for the period 2023-2027 with the involvement of its former Chairs Mr Vassil Kirov, Mr Anton Bartolo, Mr Klaudijo Stroligo, Mr Daniel Thelesklaf, former Vice-Chair Ms Eva Papakyriacou, scientific experts Mr Bill Gilmore and Mr Boudewijn Verhelst and former Executive secretary Mr John Ringguth.
The Plenary also held an exchange of views with the Executive secretary of the Egmont Group Mr Jerome Beaumont.
The Eritrean national had been on INTERPOL’s radar since 2019
LYON, France – A notorious people smuggler, known for his particularly cruel and violent treatment of migrants, has been arrested in Sudan thanks to swift action by the United Arab Emirates, based on information shared via INTERPOL.
Kidane Zekarias Habtemariam was the subject of two INTERPOL Red Notices, by Ethiopia and the Netherlands, for migrant smuggling, human trafficking and other related crimes. He is wanted for heading a major criminal organization behind the kidnapping, extortion and murder of East African migrants.
The Eritrean national had been on INTERPOL’s radar since 2019 and is believed to have smuggled and trafficked thousands of victims.
In March 2022, intelligence gathered by INTERPOL’s Human Trafficking and Smuggling of Migrants unit prompted a task force meeting with participants from Ethiopia, Sudan, The Netherlands, UAE, Europol and Regional Operational Centre in support of the Khartoum process and the African Union Horn of Africa Initiative (ROCK). Officers explored analytical gaps, progressively closing in on the fugitive and his associates.
This extensive collaboration generated a new batch of intelligence, allowing UAE authorities to conduct a thorough investigation of his network and family members, identifying money laundering activities and leading to Sudan.
His location and arrest will deal a significant blow to a major smuggling route towards Europe and protect thousands more from being exploited at the hands of the crime group.
Speaking about the arrest, Brigadier Saeed Abdullah al Suwaidi, Director General, Federal Anti-Narcotics General Directorate of the UAE’s Ministry of Interior said: “Thanks to the professionalism and dedication of our police officers, the world’s most wanted human trafficker will no longer be able to commit his despicable actions. The UAE will continue to deploy our full operational capabilities to protect vulnerable communities from this horrific exploitation.”
Stefan Schrander, Warrant Officer, Royal Netherlands Marechaussee welcomed the arrest, adding that he had been on the Dutch National Most Wanted List since October 2021. “The Royal Marechaussee is grateful for the effective cooperation in this investigation with various countries coordinated through INTERPOL.
“This successful cooperation has already resulted in the extradition by Ethiopia last year of a close associate of his and is now followed by a major arrest. He will have to face justice for his criminal activities, including the smuggling of thousands of victims under degrading and violent conditions,” concluded Mr Schrander.
Demelash Gebremichael, Commissioner General of the Ethiopian Federal Police recognized the efforts of officers who worked day and night to follow up on leads generated by the task force: “This tremendous effort has led to the arrest of an international criminal sentenced to life in prison in Ethiopia. It is a notable success.”
Stephen Kavanagh, INTERPOL Executive Director of Police Services added: “This is a testament to the INTERPOL network and what can be achieved when countries work together. In today’s world, it is quite simply the only way to stop criminals whose repeated cruelty strips people of their dignity.
“More than ever, we are committed to identifying all of the members in this smuggling ring, and any others that viciously exploit people seeking a better life,” said Mr Kavanagh.
More arrests are expected as part of ongoing investigations and as coordination continues with several INTERPOL member countries.
Bulgarian authorities targeted a number of criminal networks active along the Balkan route
On 16 January, Europol supported Bulgarian authorities during a large-scale action day against organised crime groups involved in migrant smuggling. The activities, coordinated by the Bulgarian Public Prosecutor and involving the General Directorate for Combating Organised Crime, the National Police and the Border Police, targeted criminal networks active along the Balkan route.
The Bulgarian investigations were also coordinated with the Turkish and the Serbian authorities and other partner agencies.
The action day on 16 January led to:
-92 persons charged
-624 locations checked
-4 202 vehicles checked
-7 019 persons checked
Up to EUR 10 000 to cross Bulgaria
The joint actions took place across Bulgaria and focused on a number of networks smuggling migrants from Türkiye, via Bulgaria, to Serbia and then Western Europe. The main organisers of the networks active along this route are based in Bulgaria, Serbia and Türkiye. They have created their own national networks of members responsible for the transport and accommodation in their respective countries.
The main modes of transportation used by the smugglers were vans, campers and buses. The prices for the full smuggling service in larger groups varied between EUR 2 000 and 3 000 per person. If the migrants were smuggled in a smaller group of 5-6 people, the payments were reaching up to EUR 10 000. Payments for the full trip would be made after the main organiser from Türkiye had confirmed that the migrants had reached the Bulgarian-Serbian border.
Increased migratory pressure on the Bulgarian – Turkish border
Bulgarian authorities have reported an increase in migrant smuggling activities on their southern border. In August 2022 an incident, which involved a bus transporting irregular migrants, led to the death of two police officers on duty. Later the same year, an officer from Bulgaria’s Border Police was shot dead during regular patrol at the green border with Türkiye. These incidents suggest an increase of both the smuggling activities and the violence of the involved criminal networks.
At the end of last year, Europol increased its support for Bulgarian authorities with the deployment of dedicated analyst. On the action day, 16 January, Europol deployed an expert to Sofia to provide real-time analytical support and cross-check operational information against Europol’s databases.
